Effective Fundraising Practice
Effective Fundraising Practice
Fundraising Reality Quiz! • How many charities are there in the UK?
A) 16,900 B) 69,000 C) 169,000 D) 647,000
• How much money is raised by the charity sector in the UK ? A) £490 million B) £4.9 billion C) £49 billion D) £490 billion
• What fundraising activity has the highest return on investment? A) Legacies B) Corporate C) Trusts & Foundations D) Individuals
• What is the most effective strategy for fundraising? A) Establish priorities B) Set up a fundraising committee C) Diversity the range of donors D) Identify prospective donors
Fundraising Reality Quiz • How much did companies give to the charity sector in 2007?
A) £540 million B) £2.4 billion C) £12.4 billion D) £26.7 billion
• What cause do companies give to the most? A) Education B) Health C) Environment D) Medical Research
• What puts donors off the most? A) Amount spent on administration B) Telephone calls at home C) Direct mail appeal D) How much really goes to the cause
• How much money is £100 worth of gift aid? A) £105 B) £115 C) £125 D) £150
Fundraising Reality Quiz • What are the main beneficiaries of trusts and foundations?
A) Religion B) Older people C) Diseases D) Children & young people
• What cause do trusts and foundations give to the most? A) General charitable purpose B) Health C) Housing and employment D) Arts and culture
• What is the percentage of ineligible applications to trusts? A) 10% B) 35% C) 55% D) 85%
• What is the biggest social networking site? A) Facebook B) Twitter D) Google E) Myspace
Fundraising in the Crisis
Fundraising in the Crisis
When written in Chinese, the word “crisis” is composed of
two characters. One represents danger, and the other
represents opportunity.
“Maybe as time gets worse, we get better” Tanya Steele,
Director of Fundraising for Save the Children
“Problems with the Christmas appeal? So many charities
never had such a successful one!” Stephen Pidgeon,
Chairman at Tangible Response
… lots of graphs, lots of predictions, and as Neils Bohr:
“Prediction is very difficult, especially about the future”
Where does your money come from?
Sources of Funding Fundraising
Sources
Sources of Funding
Fundraising
Sources
Pros & Cons Motivation
The Giving Pyramid
LEGACY
BIG GIFT
Regular Donor
Occasional Donors/
Subscribers
Warm Supporters
The general public
Maslow Pyramid of Needs
Effective Fundraising
Why most charities fail?
Need to
track
income
sources
PROBLEM!
!!
If you’re
here, you’re
GOOD!!!
Need
good
reserve
policy
Predictable
income
Fixed cost
commitment
Return On Investment
Committed Giving / Membership – Competitions – Corporate –
Direct Marketing Appeals - House to House – Local fundraising –
Other – Special Events – Total Voluntary Income - Trusts
Your Fundraising Strategy
looks like this…
…or like this?
Key questions…
• Who gives you money?
• Why do they give?
• Based on what criteria do you select your funders / donors?
• How do you decide which funders / donors to target?
• How do you choose your fundraising strategy?
Strategic Tools
Strategic Tools
• SWOT
• STEEPLE
• Vision
• Objectives
• Goals (SMART)
• Strategy
• Noam’s reverse PILOT Model
• Measurable
Effective Fundraising day 2:
What do you see?
Case for Support
Donors Motivation
Attributes of a good relationship
Sharing experiences together
Similarities
Honesty, openness
Mutual benefits
Added values
Validation
Social Media and SNS
Myspace This is a general, worldwide site that can be used for
almost anything from business, to music, to blogging.
Videos and music made easy. 253 m
Facebook This is another very popular general site that is great for
networking and attracting leads. 200 m
Twitter This is a great site that allows you to be updated to what
your friends are doing at any and all times of the day with
what they call a "Tweet". 25 m
YouTube This social networking site enables you to share videos to
brand yourself and business and demonstrate your
products and/or services.
3rd most
visited
website in
world
Skype This is a great communication and networking site and
tool that enables you to stay in touch with people around
the world through chat and audio features. 11 m
LinkedIn This is a professional social networking site used for
businesspeople to be able to network with other people in
their field of work. 40 m
What do you think when I say “internet”?
• Online posts are only 2nd to word of mouth as a reason to buy (Small World Labs)
• 18,000,000 Facebook users in the UK… and still 22% growth (ReadWriteWeb)
• 76% of internet usage is social networking (Marketing Charts)
• 54% social networking users over 35 (Universial Maccan)
• Social networking users – visit 9x more often your website (Small Lab World) – spend 6.5 minutes on your website versus 38 seconds for non
social networking users (Small Lab World) – spend 54% more (Ebay) – remain customers for 50% longer (AT&T)
• Heartfelt Connector • Beneficiary Builder • Member Motivator • Big Bettor • Public Provider • Policy Innovator • Beneficiary Broker • Resource Recycler • Market Maker • Local Nationalizer
Why do companies want to give you money?
How do they feel?
How do they feel?
Power of Listening
Creative Thinking
You have received the following letter
“My mother died recently. She has asked me to give £10,000 from her will to a charity where it will make a real difference.
I am asking a small group of charities, like yours, to give me a ring and suggest what you could achieve with a gift like this.”
------------------------------------------------ In each group, prepare and practice: • One of your charities • A caller And plan your call in response to this. You can be as imaginative as you like.
How social networking and media can help achieve your goals
Are you also confused?
What is social media?
A complex, organic conversation – Social networks
– News
– Blogs
– Microblogging
– Video / Photo sharing
– Wikis
– Message boards
– Social gaming
– Podcasts
– RSS (Real Simple Syndication)
– Virtual reality
How large is your network?
How many people could you reach?
General: business, music, blogging,
videos 263,000,000
Friends and family 300,000,000
Live updates: general 45,000,000
Sharing videos: 6,300,000,000 videos 3rd most visited
website in world
Free calls, video calls and audio
conferences 11,000,000
Professional social network 43,000,000
Sharing photos: 4,000,000,000 pictures 32,000,000
SNS = Social Networking Sites
Why are SNS eating my marketing budget?
The UK Internet in • Online posts are only 2nd to word of mouth as a reason to buy
(Small World Labs)
• 20,000,000 Facebook users in the UK… and still growing! (ReadWriteWeb)
• 76% of internet usage is social networking (Marketing Charts)
• 54% social networking users over 35 (Universial Maccan)
• Social networking users – visit 9x more often your website (Small Lab World) – spend 6.5 minutes on your website versus 38 seconds for non
social networking users (Small Lab World) – spend 54% more (Ebay) – remain customers for 50% longer (AT&T)
No, but yes but… So, why should I listen?
Do you recognize this painting?
The Family of Sir William Young
talking about you on Facebook.
You don’t believe me?
So what do I do now?
Keep your eyes on the prize!
Increase exposure to: 1. Support your cause and services
2. Create new interest and opportunities
3. Reach more potential donors and volunteers
4. Reinforce your credibility and retain supporters
5. Create buzz for events and campaigns
6. Improve your visibility on search engines
Expand the reach to: 1. Create strategic partnerships
2. Identify and recruit influencers to spread your message
3. Gain competitive intelligence across diverse audiences
4. Be the sector’s leader – not a follower
5. Get your message out to many – fast and cheap
• Who talks about you?
• Who has discussions in your
field?
• Who do you want to gain …
from?
• Where do they have these
conversations?
• How can you help them and
build trust?
• How can you engage them in
your conversation?
Learn to use the tools
Get involved in SNS
Get involved in SNS
How do they feel?
How do they feel?
Corporate Fundraising
Noam Kostucki
A world of opportunities
“Side Products” • Individual giving • Employee
fundraising • Charity of the year • Pro bono work • Board of trustees • Expertise • In-kind donations • Network of contacts • Major donors • Trading partners
Crisis ‘Send a Singer’
Christmas online fundraising
campaign hits its £1m target
Find the full case study on:
www.sofii.org
www.givinginadigitalworld.org
Overview
• £1,006,000 raised
• 25% increase on 2006 total.
• 97 companies participated.
• 70% of 2006 participants took part in 2007.
• 20% of 2007 participants were new, accounting
for £108,000 of income from new business.
• Average donation was £10,371 (46% increase).
ROI • £12.12 was raised for every £1 spent
Micro-site and digital • 47,139 absolute unique visitors to the site.
• The site was viewed in 117 different countries.
• Video MPU achieved a click through rate of
0.56% after serving 116,283 impressions.
PR • Opportunities to see = 13,356,486 (255%
increase).
• Advertising value equivalent = £32,639 (920%
increase).
Understand their needs
Effective Networking
How to meet the right people
When did someone help you?
Get to know each other
• Family - Friends
• Occupation - Job role
• Recreation – Hobbies – Interests
• Education - Training
Scared of networking?
Benefits of networking
How do they feel?
How do they feel?
Power of Listening
Who do you
know?
Family
Jobs
Fun
Travel
Sports
Arts
Mentoring
Career
advice
List 20 people you last met
Keeping in touch
Thank you!
If you liked it, tell your friends and colleagues